Tibetans mourn dead as China quake toll hits 791

By Chris Buckley and Royston Chan

YUSHU, China (Reuters) - Tibetans mourned dead relatives Friday from an earthquake that killed nearly 800 people in remote western China, as rescue crews found a handful of survivors and homeless residents complained of aid delays.

The official death toll from the quake that flattened much of the town of Gyegu climbed to 791, though some local people cast doubt on that figure, saying many more had died without being counted. Estimates by NGOs support a figure of about 1,000 dead.

Survivors of Wednesday's tremor spent another night huddled under quilts and in tents, while doctors struggled to treat the wounded in a makeshift medical centre.

In one Tibetan neighbourhood on the outskirts of Gyegu, police moved in to break up an angry crowd waiting for tents to be unloaded from a truck.

Cuona Laji, a wizened 67-year-old woman treated as a village elder by the residents, said the locals believed that people with political influence were getting more than their fair share of tents and other supplies.

She entreated people not to break out into fighting.

"We need food, fuel, tents and water and there's not enough yet," she told Reuters. "When people are so desperate, they feel especially angry if things aren't shared fairly".

Some survivors said they saw tents being taken away by people who were not from the quake-hit county of Yushu.

"The thing is that some people who were not affected by the quake are taking away and stealing our tents. Those people who came later today were not able to get any tents," said 32-year-old quake survivor Suona Minju.

"They are experiencing hardship in their family, some of their kin died, they have no kitchen to cook, they have no tents and they have no homes".

But in Beijing, Miao Chonggang, deputy director of quake relief at the China Earthquake Administration, said he had not heard of such problems.

"We do not have any knowledge of unfair distribution of aid materials," he told a news conference, adding that relief work had been carried out "in an orderly manner".

MONKS TO THE RESCUE

Hundreds, if not thousands, of Tibetan Buddhist monks clad in crimson cloaks and jackets joined the rescue effort undertaken by soldiers and rescue teams in distant, windswept Yushu county.

Monks from across Tibetan areas poured into Yushu to help with relief efforts, including a group from Qamdo in the Tibet Autonomous Region.

At a foothill under the main monastery of Gyegu, monks had gathered to chant mantras in front of piles of dead. Some helped residents look for kin among what appeared to be hundreds of bodies, collected on a covered platform.

"Many of the bodies you see here don't have families or their families haven't come looking for them, so it's our job to take good care of them," said Lopu, a monk clad in maroon robes.

"I'd say we've collected a thousand or more bodies here. Some we found ourselves, some were sent to us".

Many bodies had already been removed by family members, he said.

Many injured locals spent a cold night in tents or outdoors waiting for medical aid. Harried doctors said they had had almost no sleep over the past two days.

Addressing residents of Gyegu high on the Tibetan plateau late Thursday, Premier Wen Jiabao clambered over rubble and pledged continued rescue efforts.

State television showed Wen comforting survivors in their tents, one of whom burst into tears while he was talking to her, a child cradled in her arms.

But temperatures well below freezing at night leave little chance of anyone still surviving under collapsed buildings in and around Gyegu, where most of Yushu county's 100,000 people reside.

Rescuers were still discovering the odd survivor, including a 13-year-old girl buried in a hotel, in images shown live on state television.

At least 294 people are still listed as missing, and 1,176 as "seriously injured".

"I think (of my mother) but I have to control myself and not cry. I can only pray for her safety (in the afterlife)," said survivor Chenlin Cuoma, 27, sitting in front of a makeshift tent alongside her younger sister.

"After having lost her that day, I can only wish she can go to heaven and not think of anything else or have any regrets".

More than 1,000 seriously injured survivors have been evacuated for treatment at much larger nearby cities such as provincial capital Xining, some 800 km (500 miles) from Yushu, and many of them by air, the Health Ministry said.

Chinese President Hu Jintao cut short a summit in Brazil this week, and cancelled a planned trip to Venezuela and Chile in order to return early to China to oversee quake relief efforts.

Additional reporting by Liu Zhen, Lucy Hornby, Yu Le and Huang Yan in BEIJING; Writing by Ben Blanchard; Editing by Alex Richardson

Reuters

BRIC declares 2010 deadline for World Bank, IMF reform

SIDDHARTH VARADARAJAN

The declaration issued by the BRIC nations at a summit meeting here – their second since 2009 – shows a collective assertiveness in world economic matters that is bound to make leaders and bankers in the West sit up and take notice. With a confidence borne of their successful role as a caucus at G-20 meetings over the past year, the leaders of Brazil, Russia, India and China on Thursday demanded the commitment to reform the Bretton Woods financial institutions that the advanced economies made at Pittsburgh during the G-20 summit be completed by this year itself.

“The IMF and the World Bank urgently need to address their legitimacy deficits,” the BRIC summit declaration says. “We call for the voting power reform of the World Bank to be fulfilled in the upcoming Spring Meetings, and expect the quota reform of the IMF to be concluded by the G-20 Summit in November this year”.

And in an attack on the ‘jobs for the boys’ approach of the West to the two international financial institutions, the BRIC document calls for an open and merit based selection method, irrespective of nationality, for the heading positions of the IMF and the World Bank. “Moreover, staffs of these institutions need to better reflect the diversity of their membership. There is a special need to increase participation of developing countries”.

New relevance for BRIC

Addressing reporters at the end of the summit — hurriedly held to allow the Chinese president to leave for home in the wake of Wednesday’s devastating earthquake in Qinghai — Prime Minister Manmohan Singh said BRIC, the name was coined by Goldman Sachs in 2003, was not borne out of a crisis but was an act of long-term faith in our people and in our economies. “However, the global economic and financial crisis has created a new relevance for BRIC”.

The Brasilia summit was evidence that he and President Lula da Silva of Brazil, Dmitri Medvedev of Russia and Hu Jintao of China are clearly enjoying their newfound relevance. Their declaration ranged from advocating the need for restructuring the global economy, to evolving common positions on climate change, energy, trade, terrorism, agriculture and reform of the United Nations.

UN reform

On U.N. reform, Russia and China – both permanent members of the Security Council baulked at endorsing the specific demand India and Brazil have made for permanent seats. But the declaration re-affirmed the need to make the world body more effective and representative. “We reiterate the importance we attach to the status of India and Brazil in international affairs, and understand and support their aspirations to play a greater role in the United Nations”, they said.

The four rising powers also took on board a suggestion Mr. Medvedev made in the run up to the summit, declaring that in order to facilitate trade and investment, “We will study feasibilities of monetary cooperation, including local currency trade settlement arrangement between our countries.” Recognising that such talk might weaken the position of the dollar and adversely affect their own holdings, the leaders also underlined the importance of maintaining relative stability of major reserve currencies.

While expressing satisfaction at the emergence of the G-20 as the “premier forum” for international economic coordination and their own “significant contribution” to that group, the four leaders said much more remains to be done to create a reformed and more stable financial architecture for the world. Their declaration also made a pitch for “a more stable, predictable and diversified international monetary system”.

Cancun summit

On climate change, the BRIC leaders said the upcoming negotiations in Mexico should be more inclusive and transparent. The Cancun talks should produce an outcome that fair and effective, “while reflecting the principles of the UN Framework Convention,” especially the principle of equity and common but differentiated responsibilities”.

The Hindu

Gascoigne denies drink-drive charge

LONDON — Troubled former England footballer Paul Gascoigne denied a charge of drink-driving Friday, in his latest brush with the law.

Gascoigne, 42, is accused of being four times over the legal limit for alcohol when he was stopped driving a Ford Transit van at Leeming Bar in February.

The former Newcastle United, Tottenham Hotspur, Lazio and Rangers star also denied driving without insurance but a charge of driving without a licence was withdrawn.

He appeared at Northallerton Magistrates' Court along with another man, Michael Harvey, who also denied driving a van while over the alcohol limit.

The case was adjourned ahead of a trial on July 28.

Gascoigne has struggled with alcoholism and depression since retiring from the game, and has undergone treatment for bulimia and obsessive compulsive disorder. He has also been involved in a much-publicised row with his ex-wife.

In December Gascoigne was arrested and fined following a disturbance in a residential part of his native Newcastle. In 2008 he was detained under the Mental Health Act following an incident in Newcastle.

Known to fans as "Gazza," Gascoigne made 57 appearances for England. He also played for such clubs as Newcastle, Tottenham, Glasgow Rangers in Scotland and Lazio in Italy and .

Considered one of the most talented English players ever, the former midfielder is best known for his exploits in the 1990 World Cup finals in Italy, where he helped England reach the semi-finals.

AFP

Thai PM delays speech after botched arrests

(Reuters) - Thai anti-government protest leaders evaded capture on Friday in a botched police raid as Prime Minister Abhisit Vejjajiva unexpectedly delayed his first address to the nation in four days.

Government promises to crack down on what it termed "terrorists" went awry when a protest leader at a hotel in Bangkok slid down a rope from a balcony to escape riot police.

Another two were rescued by hundreds of "red shirts," who heavily outnumbered security forces at a Bangkok hotel owned by the family of former premier Thaksin Shinawatra.

The leaders later joined around 10,000 of their supporters at a hotel and shopping center in the middle of the city, now the main protest encampment in the Thai capital.

"If they use force to disperse us, we will flatten the entire neighborhood," said Jatuporn Prompan, a protest leader who was not among the three escapees, on a red shirt stage.

Abhisit had been scheduled to address national television at 1 p.m. local (2 a.m. EDT), from an army barracks where he has been holed up during the month-long protests, but by 4 p.m. he had not done so and his aides could not provide a reason.

He has been absent from the public eye since Monday.

The government, which had previously said it would not directly confront the protesters, has also stepped up the rhetoric, although no troops were seen on the streets of Bangkok.

"We will arrest and suppress the terrorists. We have set up special task forces hunting for the terrorists," Deputy Prime Minister Suthep Thaugsuban said before launching the attempt to snatch opposition leaders.

The move against the red shirt leaders on Friday follows a failed attempt by troops to eject protesters from one of their sit-in sites in the city last weekend.

At least 24 people were killed and more than 800 injured in the clash, Thailand's worst political violence since 1992, which only appears to have hardened the four-year political impasse and raised the possibility of more bloodshed.

STOCKS FALL

The risk of further instability sent Thai stocks down 3 percent. The market has now lost almost all its gains this year.

"Under the current uncertain situation, we recommend investors to stay along the sidelines at the moment as we could see a possibility of another 5 percent drop in the near term," Julius Baer Research said in a note to clients on Friday.

Thailand's five-year credit default swaps (CDS), often used as a measure of political risk, were trading at 111/116.85 against 105/111 bps on Monday, the last trading day prior to a three-day holiday.

The "red shirts" back Thaksin, who was ousted in a 2006 coup, and want Abhisit to step down immediately and call early elections. The government has offered December -- possibly October -- as poll dates. The powerful military chief this week also suggested early polls to resolve the crisis.

Finance Minister Korn Chatikavanij told Reuters on Thursday Abhisit would not resign as it would "be very negative for the country".

Protesters called off plans to march on television stations that they accused of biased coverage, removing one potential flashpoint with security forces. They hunkered down at their base in a central Bangkok shopping district, which they vowed to make a "final battleground" with the security forces.

The government has also said it would crack down on people it believed to be financing the red shirts and issued summonses under emergency powers for 60 people to report to a military barracks, where Abhisit has set up emergency headquarters.

The violent protests have hit Thai tourism, with occupancy rates less than a third of normal levels in Bangkok, according to a tour operator body.

Morgan Stanley said in a report that losses to tourism, which accounts for 6 percent of gross domestic product, could clip 0.2 percentage point from economic growth this year.

The government says Thailand's economy could grow 4.5 percent this year, but Korn warned that forecast could prove optimistic.

Additional reporting by Viparat Jantraprap; Writing by David Chance; Editing by Alan Raybould and Bill Tarrant

Reuters

Kaczynski family: State funeral Sunday despite ash

WARSAW, Poland — The family of the late Polish President Lech Kaczynski wants Sunday's state funeral to go ahead as planned, despite fears the spreading cloud of volcanic ash could hamper the arrival of world leaders.

Presidential Palace spokesman Jacek Sasin told reporters Friday in Warsaw that "it is the will of the family that, under no circumstance, the date of the funeral be changed".

Polish aviation officials closed the airport in Krakow, where numerous world leaders are expected for Sunday's 2 p.m. (1200 GMT) state funeral for the president, who was killed in a plane crash in western Russia last Saturday, along with 95 other people, many of them from the country's political elite.

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP's earlier story is below.

WARSAW, Poland (AP) — Polish officials have closed the airport where numerous world leaders are expected this weekend for the state funeral of the president killed in a plane crash last Saturday, but no plans to delay the event have been revealed.

The decision came as Polish investigators began examining one of three black boxes from the plane crash that killed President Lech Kaczynski and 95 other people, after Russian officials said their study of the boxes suggested pilot error was to blame.

Justyna Zajaczkowska, a spokeswoman for Krakow Balice Airport, told The Associated Press that the airport was closed to all traffic "indefinitely" because of the spreading volcanic ash cloud emanating from Iceland.

Despite the closure, she said, "preparations to receive" world leaders on Sunday were continuing, as the government said it had no firm plans, yet, to postpone Sunday's state funeral in Krakow.

"A two-day perspective ahead of the arrival of those planes is a relatively long time and it is hard to say how the situation will influence the arrivals," Zajaczkowska said. "All we can do is wait".

Presidential Palace spokesman Jacek Sasisn said there had been no discussion so far of postponing the funeral, but "theoretically, there exists such an option." Any delay would be an "absolute last resort".

Among world leaders who said they would come to the funeral are President Barack Obama, Russian President Dmitry Medvedv and German Chancellor Angela Merkel.

Late Thursday, the White House said Obama still planned to fly to Poland on Saturday.

Deputy White House Press Secretary Bill Burton said, "It's something that we're keeping an eye on. Right now, our schedule is still on".

Poland is preparing a tradition-laden funeral for Kaczynski and his wife, who were among the 96 people killed when their plane clipped a birch tree on approach to Smolensk. They were headed to the airport for a commemoration of the systematic execution of thousands of World War II Polish army officers by the forerunner of the Soviet secret police in 1940.

The investigation into the crash is moving fairly quickly, aviation experts said, but some Poles have complained about a lack of public information, including the transcript of conversation in the cockpit before the accident.

The black boxes, recovered from the wreckage of the Tu-154 that crashed last Saturday while approaching the airport in Smolensk, Russia, will be examined for more clues as to why the crash happened, but investigators from Russia and Poland have said human error was the likely cause.

According to Russian state news agency RIA Novosti, the Interstate Aviation Committee said the preliminary investigation had found the plane hit some trees about 1,050 meters (yards) from the paved runway.

"After 200 meters, the left wing of the plane struck a tree, as a consequence of which the plane sharply heeled and turned over to the left," the report said. "The main mass of fragments of the airliner are about 300-350 meters from the runway and about 150 meters to the left of it".

Jerzy Artymiak, spokesman for Polish military prosecutors, said the other two boxes are still being examined in Russia.

Investigators had hoped to disclose contents of the flight recordings on Thursday, but Artymiak said they now plan to wait until after the weekend memorial ceremonies.

Last weekend, the pilot of the Tupolev 154 carrying Kaczynski and the others had been warned of bad weather in Smolensk and advised by air traffic controllers to land elsewhere — which would have delayed the Katyn observances. Some in Poland have speculated that the pilots ignored the risks in order to keep President Kaczynski on schedule for a memorial for Polish officers executed by Soviet secret police in the Katyn forest in 1940.

Associated Press

BofA profit beats expectations

(Reuters) - Bank of America Corp (BAC.N) reported higher-than-expected first-quarter earnings on Friday as it set aside less money to cover bad loans.

The largest U.S. bank by assets said net income increased to $2.83 billion, or 28 cents per share, from $2.81 billion, or 44 cents per share, a year earlier.

Analysts on average had forecast a profit of 9 cents per share, according Thomson Reuters I/B/E/S.

"With each day that passes, the 2010 story appears to be one of continuing credit recovery, and our results reflect a gradually improving economy," Chief Executive Brian Moynihan said in the earnings announcement.

Consumer credit problems caused the bank to report losses in the third and fourth quarters of 2009, when large U.S. banks were dealing with the fallout from the global financial crisis.

Bank of America's first-quarter per-share earnings were lower because of an increase in shares outstanding. The bank sold shares in the 2009 fourth quarter to raise funds to repay a government bailout.

First-quarter revenue fell 11 percent to $32.3 billion. Five of the bank's six major business units were profitable during the quarter.

Like JPMorgan Chase & Co (JPM.N) -- which beat earnings expectations on Wednesday with a $3.3 billion profit -- Bank of America benefited from a booming investment banking unit.

Its global banking and markets division reported net income of $3.2 billion, up $709 million from a year earlier, on record sales and trading revenue.

The bank's provision for credit losses decreased by $3.6 billion, to $9.8 billion.

The bank ended the quarter with $2.3 trillion in assets and $976 billion in loans and leases, little changed from a year earlier.

Bank of America shares were up 2.6 percent at $19.98 in premarket trading. At Thursday's close, the shares had risen 29 percent this year, compared with a 34 percent rise in the KBW Bank Index .BKX.

Reporting by Joe Rauch; Editing by John Wallace

Reuters